Totalplay Bets on Symmetrical Internet Amid Profit Struggles

Totalplay has a symmetrical internet model to improve its profitability after four consecutive years of net losses, which ranged from MX$547 million in 2020 (US$26.9 million) to MX$3.147 billion in 2023 (US$154.7 million), and a slowdown in network investments. The measure, announced during President Claudia Sheinbaum's morning conference and initially associated with additional charges for data overages, was adjusted following negotiations with PROFECO, who at a key meeting on April 3, 2025 required the company to obtain express consent from users to implement contractual changes, now offering a free trial period.

Eduardo Kuri, CEO, Totalplay, explained in the company's latest financial report that the reduction of network investments from 2023 seeks to "strengthen liquidity and amortize debt maturities." While a symmetrical internet is a convenient tool for operators facing financial pressures or competition, its success depends on execution, says Jesús Romo, Analyst, Global Data.

Totalplay, a subsidiary of Grupo Salinas, has faced challenges to monetize its fiber optic expansion, initiated during the pandemic. Despite capturing 5.3% of the telecom sector's revenues in 2023,  according to the Federal Institute of Telecommunications (IFT), its losses tripled between 2020 and 2023. This situation led the company to implement two key measures. First, it reduced its infrastructure investments starting in 2023, focusing on cutting operating and network expenses to prioritize liquidity. Secondly, it was forced to compete in a market where operators such as Telmex and Izzi already offered symmetrical internet in limited plans, while Telmex additionally froze prices and included streaming subscriptions as part of its packages, reports El Economista.

The adoption of the symmetrical internet, a network model that guarantees equal speeds for upload and download data, arose in response to two central problems. On the one hand, there is network degradation. According to Totalplay, 20% of users consume 80% of the bandwidth, generating additional operating costs. On the other hand, the financial pressure derived from Grupo Salinas' net debt, which reached MX$92.3 billion (US$4.55 billion) in 2023 according to its annual reports.

The strategy and its regulatory adjustment

Totalplay's original plan contemplated additional charges for exceeding the established data limits, as well as unilateral modifications to the adhesion contracts. However, after PROFECO's intervention, the company adjusted its proposal: it now includes a three-month free trial period with transparent notifications on excessive consumption, and guarantees users the right to keep their original plan or cancel without penalty within 30 days (Art. 195 LFTR). Once this period is over, customers may voluntarily decide whether to keep the symmetrical plan with its possible excess charges or return to their original plan.

PROFECO stated that the unilateral changes in the contracts violate the Federal Consumer Protection Law, which forced Totalplay to rethink its approach. Industry analysts believe that the company must find a balance between financial sustainability through cost optimization and the use of network intelligence and competitiveness, offering symmetrical speeds without resorting to opaque charges that generate distrust among users.

Symmetrical internet is still uncommon in the Mexican residential market. According to data from the IFT, only 15% of residential plans include it, in contrast to 40% in the United States. Symmetrical networks require up to 30% more capacity, reports Servnet, which is a reason behind Totalplay's decision to monetize excessive data consumption.

However, transparency will be fundamental for this strategy to succeed, especially after the readjustment agreed with PROFECO, reports Expansión. The company will have to ensure that any changes in the terms of service are clearly communicated to users and comply with consumer protection regulations.

Operational efficiency is another critical pillar. Totalplay needs to optimize its network to reduce service degradation, particularly in the face of intensive bandwidth usage by a minority segment of users. However, this effort must be managed carefully so as not to affect the experience of the average residential user, which could lead to dissatisfaction and churn.

Finally, the company must deal with competition. Consolidated players such as Telmex and Megacable not only offer lower prices, but also include additional benefits such as subscriptions to streaming platforms. In this context, symmetrical internet could be a differentiator for Totalplay, but only if it manages to balance its value proposition with competitive pricing and consistent service quality.